Which of the following is a disadvantage of the departmental overhead rate method?
A. The departmental overhead rate is consistent with GAAP and can be used for external reporting.
B. The departmental overhead rate is usually more accurate in overhead allocations than the plantwide overhead rate.
C. Allows each department to have its own overhead rate.
D. Allows each department to have its own allocation base.
E. It may fail to accurately assign many overhead costs that are not driven by production volume.
Answer: E
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Which of the following would be used when computing earnings per share for a company with a complex capital structure?
a. A nonconvertible bond b. A stock option c. A nonconvertible preferred stock d. Retained earnings
Media outlets describe the topics they intend to cover during the coming year by
A) holding press conferences. B) publishing editorial calendars. C) creating special televised business-to-business campaigns. D) hiring celebrity spokespersons to make announcements at industry conventions. E) leaking information to a select handful of elite industry bloggers.
The process of setting procedures for making decisions about an organization's long-term goals is called
A. strategic planning. B. HR planning. C. job analysis. D. environmental scanning.
The length of the planning horizon is usually between
A) one and three months. B) three and eighteen months. C) one and three years. D) three and five years.